Best Stocks to buy in Power Sector
Best Stocks to buy for long term investment in Power Sector: Power has always been a scarce commodity in India. We all suffer from power cuts on a daily basis and even industries suffer the power cuts. Whats more, the demand for power is always on the rise. With expectations of India growing at 8 to 9% will only create more and more demand for electricity. This scenario presents a unique opportunity for large corporates to invest in power generation businesses and to the investors to invest and reap long term profits from these investments.
The government has targeted electricity for all by 2012 by the end of 11th Five Year Plan. The demand of electricity is growing exponentially. And, herein lays the opportunities for investors to plough their money in public and private sector companies both.
At present, coal based thermal power plants accounts for almost two-thirds of the energy needs of the country. However, the government is increasingly becoming aware about the benefits of generating power through cleaner nuclear power plants.
More recently, during the Budget 2010 announcement, the government has also laid emphasis on the development of non-conventional energy resources such as Solar and Wind Energy. Rural electrification is also a significant initiative by the government to allow access to electricity in remote regions in India.
Top Stock Picks in Power Sector:
- NTPC (Power Generation)
- Power Grid Corporation (Power Transmission)
- Tata Power (Power Generation)
- Rural Electrification (Power Sector NBFC)
- BHEL (Power Equipments)
